The FINANCIAL — By 2020, Daimler will invest €1.5 billion at the Mercedes-Benz Cars Sindelfingen Plant and will significantly improve its competitive position. The company has reached a multi-year agreement with the Works Council on cost reductions in a triple-digit million euro amount. In return, Daimler will invest billions of euros in the modernization of the plant and will produce another model in Sindelfingen, according to Daimler AG.
“We are growing dynamically abroad while continuing to make enormous investments at our sites in Germany. The agreement combines investments for the future with the necessary savings. This approach is the basis for our success and the foundation of our growth strategy ‘Mercedes-Benz 2020’. With this package we strengthen Sindelfingen’s position and secure jobs,” stated Dr. Dieter Zetsche, Chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars.
Ergun Lümali, Chairman of the Works Council at the Mercedes-Benz Cars Sindelfingen Plant, is delighted with the investment and the new model to be produced in Sindelfingen: “It was important to us to protect jobs and maintain the existing wage tariff agreements. I’m proud that the works council was also able to secure a new model for Sindelfingen in addition to the investments. Together we have safeguarded the future of Sindelfingen Plant beyond 2020 and will celebrate our 100 year anniversary with even more confidence.”
“With the committed investments, we are placing production in Sindelfingen on a new and competitive foundation,” Dr. Willi Reiss, Head of the Mercedes-Benz Cars Sindelfingen Plant, explained. The main projects include the construction of a new body shop, a new paint shop and a new assembly hall for the new generation of the E-Class and its successors. At the world’s biggest production plant of Mercedes-Benz Cars, a new logistics center for the new E-Class will also be established, where suppliers and service providers will be responsible for incoming and outgoing goods. The assembly lines will continue to be supplied by Mercedes-Benz employees, according to Daimler AG.
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